Clorox Pays $290M To Digest Entry Into Probiotics With Renew Life
This article was originally published in The Tan Sheet
Executive Summary
Clorox Co. enters the probiotics space with a $290m purchase of Renew Life, a firm with annual sales of $115m. Clorox plans to expand the firm's lines in the natural product and mass retail markets while targeting new points of sale.
You may also be interested in...
Clorox Did Homework On Becoming 'Emerging' Supplements Leader Before Buying Nutranext
“We love that we’re in differentiated segments here, emerging segments, not single letter vitamins, but product benefits that are scientifically grounded and that start to have a really strong following among consumers,” Clorox CEO Bennor Dorer says of the firm's recent Nutranext acquisition. He explained the “rationale” for buying a business that competes in a “fragmented category” without a brand leader during Clorox' third-quarter earnings briefing.
Clorox Acts On Tax Reform Excitement With Nutritional Sector Acquisition
Clorox is acquiring Nutranext, manufacturer and marketer of dietary supplement brands including Rainbow Light and Natural Vitality, a month after executives said during the firm's latest earnings briefing that US tax code change, particularly eliminating taxing income earned in foreign markets when it is transferred to the US, heightens their interest in mergers and acquisitions. Expect more from Clorox and in the broader health care space, says analysts.
Supplement Industry Investment Continues On Swander Pace Contract Manufacturing Move
Swander Pace expands Captek’s operations less than two years after acquiring the firm and seven months after investing in a protein supplement manufacturer as one of numerous private equity firms active in the nutritional products space.